Bankruptcy

Are “Bankruptcy Directors” Bad for Creditors?

A new paper studies the rise of so-called “bankruptcy directors,” typically former bankruptcy lawyers, investment bankers, or distressed debt traders who join...

Defying Expectations, Bankruptcy Filings Are Down During the Covid-19 Crisis So Far

Historically, bankruptcy filings have closely tracked the business cycle and unemployment rates. However, a recent study found that this relationship has reversed...

Should Small Businesses Consider Bankruptcy? A New Capitalisn’t Reading List

The coronavirus has taken a heavy toll on most businesses, but it has been especially hard on small businesses. Should those businesses...

How to Avoid a Mass of Business Bankruptcies: Two Policy Proposals

Existing fiscal and monetary policies are powerless to restore firms’ revenues during this health emergency. Many firms will soon begin having trouble meeting their...

The Secret Code of Capital and the Origin of Wealth Inequality

Capital is not a thing, but a social relation enforced by the law and the state. With the right legal coding, any object, claim,...

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Antitrust and Competition

Startup Acquisitions Have Undecided Effects on Innovation and Economic Growth

Christian Fons-Rosen, Pau Roldan-Blanco, Tom Schmitz

Startups are a major driver of innovation, but many startups are acquired by large incumbents. Do these acquisitions stifle innovation or promote...

ESG & Corporate Governance

History Shows that Voluntary ESG Standards Lead to a More Focused ESG Disclosure

Ethan Rouen, Kunal Sachdeva, Aaron Yoon

In recent years, ESG reports have become more common for publicly traded companies. However, critics have found the information they provide to...

Regulation

Letters that Matter: How Interest Groups Shape Financial Legislation

Renée Adams, Thomas Mosk

Members of Congress are inundated with an avalanche of correspondence on a daily basis. But what persuades them to heed the call?...

Labor

Are There Really Gender Pay Differences in the CEO Labor Market?

Massimiliano Tani, Keiran Sharpe, Andrew Valentine

The gender pay gap is a well-documented phenomenon in global labor markets, but this gap does not seem to apply to the...

Monetary Policy

How Many Banks Are at Risk of Insolvency Right Now?

Amit Seru, Erica Xuewei Jiang, Gregor Matvos, Tomasz Piskorski

Given the recent banking turmoil and failure of SVB and Signature and issues in First Republic, it is important to understand the...